Juniper Research Says Online Gaming to Fuel $150 Billion Digital Content Market by 2019

May 05, 2015

A new report from Juniper Research has found that the value of the global digital content market will reach $154 billion annually by 2019, an increase of nearly 60% on 2014. The research, Digital Content Business Models: OTT & Operator Strategies 2015-2019, observed that mobile and online games would account for the largest share of content sales (38% of cumulative revenues), with game formats continuing to transition from physical to digital. 

Strong growth is also expected to come in the Lifestyle segment, where dating services such as, eHarmony, and Zoosk are seeing marked uplifts in revenues from their mobile channels.

The research also highlighted a dual paradigm shift in content monetization models. In the first instance, pay per download now accounts for around 10% of mobile content revenues, with the bulk of revenue achieved post download. Secondly, it highlighted the transition from content ownership to content access, with consumers needing to engage with the same content across multiple devices.

The research also noted that leading OTT (Over The Top) players such as Apple, Google, and Amazon were in pole position to capitalize on this transition, with each now offering cloud-based solutions both for personal storage and premium content access. It argued that if consumers are tied into multiple products from an OTT, those consumers becomes increasingly reluctant to churn away from one element of the brand, as he/she loses access to content across their devices.

Juniper Research provides research and analytical services to the global hi-tech communications sector, providing consultancy, analyst reports and industry commentary